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2021 (8) TMI 213 - AT - Income TaxRevision u/s 263 - business profit on sale of land at Nallur - HELD THAT:- On perusal of the deed in document No.14320/2013 dated 02.12.2013, it is seen that the property valued at ₹ 6,81,69,559/- as per the SRO value. Hence, the value of consideration received on transfer of business asset is less than the value adopted by the SRO for the purpose of stamp duty, which is not in accordance with the provisions of s.43CA of the Act is at ₹ 2,50,05,694/- which failed to bring to tax. Failure to assess this has rendered the assessment is erroneous and prejudicial to the interests of revenue. Before the A.O, it was submitted by the assessee that the sale price is ₹ 6,81,69,559/- less cost price is at ₹ 1,12,83,619/- and profit on sale of land is at ₹ 5,68,85,940/- and the same is offered for taxation and therefore, the provisions of s.43CA of the Act will not apply. Exemption u/s. 54F - In this case, the A.O has completed assessment u/s. 143(3) of the Act dated 30.12.2019. The same was taken up by the Ld. PCIT for examination u/s. 263 of the Act and found that the A.O has not examined in respect of business profits on sale of land at Nallur, which is erroneous and prejudicial to the interests of revenue. He has also pointed out that the claim of assessee u/s. 54F of the Act is fully allowed, where only 50% has to be allowed. We have gone through the order of the Ld. PCIT, we found that there are two issues as pointed out by the Ld. PCIT. In our opinion, the A.O has not made any enquiry/investigation to complete the assessment u/s. 143(3) of the Act. PCIT rightly set aside the order passed by the A.O and directed the A.O to pass fresh assessment order in accordance with law. Hence, we find that no interference is called for in this case. - Decided in favour of assessee.
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